Open AccessExchange rate arrangements: From extreme to "normal"
Author(s) -
Emilija Beker
Publication year - 2006
Publication title -
panoeconomicus
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.289
H-Index - 14
eISSN - 2217-2386
pISSN - 1452-595X
DOI - 10.2298/pan0601031b
Subject(s) - de facto , economics , exchange rate , monetary economics , context (archaeology) , international economics , normalization (sociology) , currency , exchange rate regime , capital (architecture) , liberalization , market economy , political science , geography , archaeology , sociology , anthropology , law
The paper studies theoretical and empirical location dispersion of exchange rate arrangements - rigid-intermediate-flexible regimes, in the context of extreme arrangements of a currency board, dollarization and monetary union moderate characteristics of intermediate arrangements (adjustable pegs crawling pegs and target zones) and imperative-process "normalization" in the form of a managed or clean floating system. It is established that de iure and de facto classifications generate "fear of floating" and "fear of pegging". The "impossible trinity" under the conditions of capital liberalization and globalization creates a bipolar view or hypothesis of vanishing intermediate exchange rate regimes